“It is a type of plan which quantifies future facts and figures.” Identify:
Answer & explanation
Correct answer: option 2
The correct answer is Option (2) → Budget
Option (1) Method — Incorrect. A method lays down the one best way of doing a single task. It is not written in numbers.
Option (2) Budget — Correct. A budget is a statement of expected results expressed in numerical terms. A sales budget, for example, gives the sales expected of each product in each area in a month.
Option (3) Policy — Incorrect. A policy is a general statement that guides thinking and decisions, such as a firm’s pricing policy.
Option (4) Programme — Incorrect. A programme is a detailed plan for one project. It brings together objectives, policies, procedures, rules and the budget needed, but it is not itself the statement in numbers.
NCERT (2026-27 Edition): “Budget A budget is a statement of expected results expressed in numerical terms. It is a plan which quantifies future facts and figures. For example, a sales budget may forecast the sales of different products in each area for a particular month. A budget may also be prepared to show the number of workers required in the factory at peak production times.” |